# Plain Language Summary: Gas Prices Relief Act of 2022

This bill would temporarily eliminate the federal gas tax for the rest of 2022. Currently, the government adds about 18.4 cents to every gallon of gas you buy at the pump. This bill would remove that tax entirely, starting from whenever the bill passes and lasting through December 31, 2022. According to the bill's sponsors, this would save the average American driver over $100 per year, since most people drive around 14,000 miles annually.

The bill recognizes that gas prices were particularly high in early 2022, contributing to overall inflation that was hitting families hard. The sponsors argue this tax holiday would especially help rural Americans, who have to drive longer distances to get groceries, visit doctors, pick up prescriptions, and get to work or school. To make sure this tax cut actually reaches your wallet, the bill includes language stating that gas companies should pass the savings directly to consumers at the pump, and gives the Treasury Secretary authority to enforce this requirement.

Here's the important part about how the government would handle the lost tax revenue: The federal gas tax normally funds road and bridge maintenance through the Highway Trust Fund. Rather than let that fund run dry, the bill requires the federal government to transfer money from the general Treasury to replace whatever gas tax revenue is lost during this holiday. This approach has been used before—Congress has transferred general funds to the Highway Trust Fund multiple times since 2008 to keep it solvent. The bill also protects funding for the Leaking Underground Storage Tank Trust Fund, which handles environmental cleanup from old gas station tanks.

Gas Prices Relief Act of 2022

O'Halleran, Tom

Gas Prices Relief Act of 2022 This bill provides for a temporary exemption through 2022 from the excise tax on gasoline (other than aviation gasoline) and from the Leaking Underground Storage Tank Trust Fund financing rate. The Department of the Treasury must transfer from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund amounts resulting from the exemption provided by this bill. The bill also expresses congressional policy that consumers immediately receive the benefit of this exemption.